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How Did the Great Recession Affect Different Types of Workers? Evidence from 17 Middle-Income Countries

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  • Cho, Yoonyoung
  • Newhouse, David

Abstract

This paper examines how different types of workers in middle-income countries fared during the immediate aftermath of the great recession. Youth suffered extraordinary increases in unemployment and declines in wage employment. Employment to population ratios also plummeted for men, primarily due to their higher initial employment rates. Percentage employment declines within sector were gender-neutral, and there is little indication of strong added worker effects. Traditionally disadvantaged groups such as less educated and female workers were not necessarily most affected during the crisis, underscoring the importance of implementing targeted mitigation measures that focus on displaced youth and wage employees.

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  • Cho, Yoonyoung & Newhouse, David, 2013. "How Did the Great Recession Affect Different Types of Workers? Evidence from 17 Middle-Income Countries," World Development, Elsevier, vol. 41(C), pages 31-50.
    • Handle: RePEc:eee:wdevel:v:41:y:2013:i:c:p:31-50
    DOI: 10.1016/j.worlddev.2012.06.003
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    Cited by:

    1. Tamar Khitarishvili, 2013. "The Economic Crisis of 2008 and the Added Worker Effect in Transition Countries," Economics Working Paper Archive wp_765, Levy Economics Institute.
    2. Mary Hallward-Driemeier & Bob Rijkers & Andrew Waxman, 2017. "Do Employers' Responses to Crises Impact Men and Women Differently? Firm-level Evidence from Indonesia," Review of Development Economics, Wiley Blackwell, vol. 21(4), pages 1018-1056, November.
    3. Rémi Bazillier & Jérôme Hericourt, 2017. "The Circular Relationship Between Inequality, Leverage, And Financial Crises," Journal of Economic Surveys, Wiley Blackwell, vol. 31(2), pages 463-496, April.
    4. Tindara Addabbo & Paula Rodríguez-Modroño & Lina Gálvez-Muñoz, 2013. "Gender and the Great Recession: Changes in labour supply in Spain," Department of Economics (DEMB) 0010, University of Modena and Reggio Emilia, Department of Economics "Marco Biagi".
    5. Mona Said, 2015. "Wages and Inequality in the Egyptian Labor Market in an Era of Financial Crisis and Revolution," Working Papers 912, Economic Research Forum, revised May 2015.
    6. Khalil, Sana, 2018. "Reanalyzing the gender-specific effects of the Great Recession," MPRA Paper 95500, University Library of Munich, Germany.
    7. Jeroen Horemans & Ive Marx & Brian Nolan, 2016. "Hanging in, but only just: part-time employment and in-work poverty throughout the crisis," IZA Journal of European Labor Studies, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 5(1), pages 1-19, December.
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    9. Bharadwaj, Prashant & Bietenbeck, Jan & Lundborg, Petter & Rooth, Dan-Olof, 2019. "Birth weight and vulnerability to a macroeconomic crisis," Journal of Health Economics, Elsevier, vol. 66(C), pages 136-144.
    10. Amir S. GOHARDANI & Folke BJÖRK, 2013. "A Conceptual Disaster Risk Reduction Framework For Health And Safety Hazards In The Construction Industry," Management and Marketing Journal, University of Craiova, Faculty of Economics and Business Administration, vol. 0(1), pages 173-192, May.
    11. Khanna, Gaurav & Newhouse, David & Paci, Pierella, 2010. "Fewer Jobs or Smaller Paychecks? Labor Market Impacts of the Recent Crisis in Middle-Income Countries," World Bank - Economic Premise, The World Bank, issue 11, pages 1-4, April.
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    13. Essers, Dennis, 2013. "South African labour market transitions during the global financial and economic crisis: Micro-level evidence from the NIDS panel and matched QLFS cross-sections," IOB Working Papers 2013.12, Universiteit Antwerpen, Institute of Development Policy (IOB).
    14. Olivier Bargain & Laurine Martinoty, 2018. "Crisis at Home: Mancession-induced Change in Intrahousehold Distribution," Post-Print hal-01770180, HAL.
    15. Leonida CORREIA & Marina ALVES, 2017. "Regional Employment In Portugal: Differences And Cyclical Synchronisation," Regional Science Inquiry, Hellenic Association of Regional Scientists, vol. 0(2), pages 159-175, December.
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    17. Arnstein Aassve & Elena Cottini & Agnese Vitali, 2013. "Youth Vulnerability in Europe during the Great Recession," Working Papers 057, "Carlo F. Dondena" Centre for Research on Social Dynamics (DONDENA), Università Commerciale Luigi Bocconi.
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    20. Sansale, Rebecca & DeLoach, Stephen B. & Kurt, Mark, 2019. "Unemployment duration and the personalities of young adults workers," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 79(C), pages 1-11.

    More about this item

    Keywords

    labor market; great recession; types of workers; middle-income countries;

    JEL classification:

    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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